Member Info for Craggs

Why do people keep going on about the multi site licence? It's just like giving a homeless person planning permission to build as many mansions as they like. There's no real advantage other than a $2m saving on each plant budget. And with the kind of profits touted, any other company would happily absorb it in their $150m+ project.

DFG, you're right. There is concern for Tomco achieving the necessary plant funding. We've seen how they've struggled to obtain the funding for the 10% land interest, having already spent the allocated portion of the November 2020 placing. Thankfully, Valkor came to the rescue, with a 15% interest loan, to save them the embarrassment of a third delay. I'm sure you'll know more about the avenues available to Tomco for getting the plant funding? I know it won't be all sourced from one provider.

I get the feeling larger companies that could easily fund such a project are just sitting on the sidelines, watching Tomco, to see if they can get a plant successfully up and running: letting someone else take the risk of testing the technology before getting their own lisences from PQE.

People seem to think a successful acquisition of PQE will somehow boost Tomco.
Valkor own 0% of Tomco until the new plant financing is in place.

$500k has now been paid. The remaining $1.5m has to be paid by the 15th November.

The RF is on the back burner. According to previous RNS, they should be telling us pretty soon what they plan to do with it. The equipment was modified, but a new field test never conducted. I guess it all costs money they don't have spare right now. The drilling is by a third party that TOM will not get involved with. It's gonna be a struggle, but I'm quietly confident they can get this over the line.

Hi, there's no change to the plan to build a 5000k plant. Today's news is purely regarding a potential source of funding for the initial 10% of land. However, it sound like the funds will be loaned rather than income.

I can buy 5m on IG right now. Gonna wait till the SP is lower though.

The day will certainly not finish blue. Today's announcement is a setback despite a potential new source of funding for the 10% interest being mentioned. Let's hope for a positive outcome.

After allocating funds in the November placing. It's very disappointing to finally hear that they are no longer available to purchase the 10% interest. These 'deeper resources' sound like a lifeline rather than good fortune.

Good morning, you'll have to elaborate on what you see as 'clear' evidence within the interim results and where it indicates the use of their funds in a different manner. What brings you to the conclusion that is was not used for the specific intentions? The £1.86m spent on Greenfields up to the end of March appears to tie in with what they had planned. Thanks

We're all aware of the lack of information on Valkor's fundamentals. Not as much of a concern now that the JV has come to an end. Just so long as they continue to provide support to Tom.

Hi Minimil, I see that the interim results up to 31st March show a total of £1.86m invested into the JV. I presume that includes the $1.5m Petroteq license and $0.5m loan? Regardless of the exact exchange rate, It doesn't leave much left that has been invested. Maybe the difference is an increased loan to Greenfields to the sum of £761k? I'm certainly no expert and might be reading things incorrectly. What figures have you focused on to arrive at your conclusion?

TOM set aside £1.3m for working capital and to support Greenfields on the POSP. They anticipated this would keep them afloat until June 2022. Are you suggesting they have spent all of this on Greendfields and then broken into the £1.5m fund allocated to the 10% purchase of the land?

16 Nov 20 - US$0.5 million (approximately £0.4 million) will be loaned by the Company to Greenfield (the "Loan"), which together with the US$1.5 million already provided by the Company to Greenfield to upgrade the POSP, which as set out above, secures the new Petroteq Licence. Under the terms of the Petroteq Licence, the US$0.5 million will be invested by Greenfield into the POSP in order to satisfy the full consideration for the Petroteq Licence. The Loan will be unsecured and has an interest rate of 6% per annum payable at the same time as the principal of the Loan is repaid. The Loan is repayable on the second anniversary of the date of advance or earlier with the consent of both Valkor and TomCo or immediately on an insolvency event of Greenfield;

Didn't TOM loan about $2m to Greenfields? Maybe some, if not all, of that could be returned when financing is sorted?

Ah, did I miss out the 10% purchase of the land?

£18m placing + £73m loan only comes to £91m. Where does the remainder of the £110m (est) come from? I thought it was pretty much established that any funding would not come from a placing, but from multiple sources?

Hey, if it gets that high in the near future, the Milkybars are on me!

5p seems somewhat fanciful anytime before the plant is up and running. I'd happily see it spike at half that.
Vauch, are you taking onboard the saleable assets to arrive at your prediction?

I believe Damac on ADVFN plans on writing up a report later on his train journey home.

"whilst retaining Valkor as a valued stakeholder and planned substantial shareholder... ". It doesn't sound like they've walked that far away from the project. Maybe, Valkor are a bit short of cash and can only offer their expertise to the project?

Why do people keep suggesting that the JV required both parties to find 50% of the funding? Surely, Greendfields would be seeking 100% of the funding regardless of ownership? Some have said that the 100% aquisition by TOM is benefical for the sought after financing of the plant. I'm sure someone who is experienced in US business finance can corroborate that claim.

I should have clarified: the quote was from the proposed spending of the £3.5m placing back in November. So they had already put the funds in place for the initial 10% payment on the land. However, Art does make a valid point that some of those funds may have been used up within the delays of the POSP development. I don't know if there's any information publicly available to provide an answer to this?